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London Stock Exchange Group (LSE:LSEF) Cash Conversion Cycle : -239.42 (As of Dec. 2023)


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What is London Stock Exchange Group Cash Conversion Cycle?

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

London Stock Exchange Group's Days Sales Outstanding for the six months ended in Dec. 2023 was 64.53.
London Stock Exchange Group's Days Inventory for the six months ended in Dec. 2023 was 0.
London Stock Exchange Group's Days Payable for the six months ended in Dec. 2023 was 303.95.
Therefore, London Stock Exchange Group's Cash Conversion Cycle (CCC) for the six months ended in Dec. 2023 was -239.42.


London Stock Exchange Group Cash Conversion Cycle Historical Data

The historical data trend for London Stock Exchange Group's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

London Stock Exchange Group Cash Conversion Cycle Chart

London Stock Exchange Group Annual Data
Trend Mar14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only -14.18 -18.78 -34.83 -74.25 -59.40

London Stock Exchange Group Semi-Annual Data
Mar14 Sep14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -261.20 -286.03 -274.10 -266.62 -239.42

Competitive Comparison of London Stock Exchange Group's Cash Conversion Cycle

For the Financial Data & Stock Exchanges subindustry, London Stock Exchange Group's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


London Stock Exchange Group's Cash Conversion Cycle Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, London Stock Exchange Group's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where London Stock Exchange Group's Cash Conversion Cycle falls into.



London Stock Exchange Group Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

London Stock Exchange Group's Cash Conversion Cycle for the fiscal year that ended in Dec. 2023 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=47.74+0-107.14
=-59.40

London Stock Exchange Group's Cash Conversion Cycle for the quarter that ended in Dec. 2023 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=64.53+0-303.95
=-239.42

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


London Stock Exchange Group  (LSE:LSEF) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.


Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.


London Stock Exchange Group Cash Conversion Cycle Related Terms

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London Stock Exchange Group (LSE:LSEF) Business Description

Address
10 Paternoster Square, London, GBR, EC4M 7LS
London Stock Exchange Group is a fully integrated financial exchange company covering the financial market value chain from primary and secondary markets across multiple asset classes over data, index and analytics down to clearing and post-trading reporting. With the acquisition of Refinitiv, LSEG generates about two thirds of its revenue from data and analytics including its FTSE Russell and WM/Refinitiv benchmarks as well as data feeds and terminals. The group is also a majority shareholder in Tradeweb, one of the dominant global fixed income trading venues, as well as LCH, the largest clearing house for over-the-counter swaps globally.

London Stock Exchange Group (LSE:LSEF) Headlines

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